The 2020 Budget in Malta was announced on 22 October 2019.
Despite the small size, during the first six months of 2019, the Maltese economy has grown by 4.7%, more than three times the EU average rate of 1.4%.
Here are some of the highlights from the budget, and the most notable developments for potential investors interested in Malta:
- Malta continues to promote and adopt various policies in the Blockchain and Fintech sectors. A number of new laws regulating DLT, mainly the Virtual Financial Asset Act, Malta Digital Innovation Authority and the Innovative Technology Arrangements and Services Act have been introduced during the past year, making Malta on of the first jurisdictions in the world to regulate this innovative technology sector.
- Malta has renewed its commitment to adopt the recommendations done by MONEYVAL to increase its compliance with anti-money laundering and terrorist financing laws.
- Plans for a regulatory framework for artificial intelligence have been announced and the government has shown commitment in continuing its investment in this sector, including the implementation of AI in the public sector.
- New measures are being introduced to assist companies in the Digital Arts, games programming, media production and e-sport sectors. This is in-line with previous investment done in 2019, most notably the expansion of the Institute for Digital Games at the University of Malta.
- The investment in the aviation industry has also been bolstered, with the government announcing new measures and retention of existing measures including investment aid and the accessibility to industrial space and finance for qualifying companies looking to tap into this sector.
- Renewed support to companies looking to establish themselves in the medical cannabis sectors has been announced. Existing grants and new measures consist of the grant of land to companies compliant with the Production of Cannabis for Medicinal and Research Act, which want to establish research and production facilities in Malta.
- Malta has registered an increase in tourists visiting the island of around 4.7% from the previous year, which brings up the number of tourists which have spent their holidays in Malta to 2.7 million.
- A general effort to reduce bureaucracy in government departments has been announced, with the aim to facilitate new business looking to set-up in Malta.
Should you have interest in the above, or wish to discuss this in more detail, you are very welcome to write to us at MT@SheltonsGroup.com. Our Malta office would be more than happy to hear from you.